The acquisition marks the entry of GT Capital into affordable housing, as the country faces a supply shortage of more than three million homes. PCFI is a subsidiary of Profriends Group Inc, which has postponed a planned 7.7 billion pesos initial public offer.Reuters | August 08, 2015, 18:01 IST

MANILA: Philippine conglomerate GT Capital Holdings Inc said on Friday it is buying a minority stake in low-cost housing developer Property Company of Friends Inc for 7.24 billion pesos ($158.2 million), a move that expands its real estate portfolio.

The acquisition marks the entry of GT Capital into affordable housing, as the country faces a supply shortage of more than three million homes. PCFI is a subsidiary of Profriends Group Inc, which has postponed a planned 7.7 billion pesos initial public offer.

GT Capital said it signed a deal to acquire 22.68 percent of PCFI, with an option to increase its direct shareholding to 51 percent within the next three years, the company disclosed to the Philippine Stock Exchange.

Owned by the Philippines' sixth richest man George Ty, GT Capital owns Federal Land Inc, a developer of mid-income and high-end apartments in the capital Manila.